The USD/JPY pair initially tried to rally during the session on Monday, but sold off in order to finish basically unchanged. This shows just how tight this market is at the moment, and therefore we are not interested in trading it. However, we do believe in the longer-term uptrend, and recognize that a pullback to the 118 level would be a buying opportunity. We believe that the market will eventually hit the 120 level, the 121 level, and then the 122 level, before eventually breaking out we are buyers overall, but at the moment feel perfectly comfortable on the sidelines.
